Obama economic plan now tops $900 billion

[WriteDown]

Source: AP

WASHINGTON – The cost of President Barack Obama's economic recovery plan now exceeds $900 billion after the Senate added money for medical research and tax breaks for car purchases.

It could go higher Wednesday if a tax break for homebuyers is made more generous, even as centrists in both parties promise to clear away spending items that won't jump-start the economy immediately.

In an interview on CNN, Obama signaled a willingness to drop items that "may not really stimulate the economy right now." He also signaled he'll try to remove "buy American" provisions in the legislation to avoid a possible trade war.

In a victory for auto manufacturers and dealers, Sen. Barbara Mikulski, D-Md., won a 71-26 vote to allow most car buyers to claim an income tax deduction for sales taxes paid on new autos and interest payments on car loans. The break would cost $11 billion over the coming decade but could mean savings of $1,500 on a $25,000 car.....

Read more: http://news.yahoo.com/s/ap/20090204/ap_on_go_co/congress_stimulus

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Am I the only one who things this sounds expensive?

[Oregone]

1. a tax break for homebuyers wont jumpstart the economy period

There isn't a ton of people sitting around with $200 K, only will to spend if uncle sam gives them back $10 K. Those tax rebate schemes only work if you have a reluctant consumer class, not if you have a drowning consumer class.

[Guy Whitey Corngood]

2. Many people think it's expensive particularly republicans. nt

[WriteDown]

6. So lets increase it to 2T and really jump start the economy...

The plan as it still now looks bloated and it doesn't concentrate on what is really needed.

[Guy Whitey Corngood]

7. Sure, why not. nt

[Oregone]

8. Perhaps it should be

[bluestateguy]

3. How about just giving every American a $3000 debit card

Everyone, no exceptions. The only stipulation is that the money MUST be spent, though you could use it to pay a bill. It would be a debit card, and you'd have to pump it into the economy.

[Oregone]

5. Trusting the consumer to spend the money properly cannot produce an effective stimulus

It would all be spent on porn and TVs from China. You would be better off sending them $3K in food vouchers.

[rucky]

10. Even if it's deposited, that'll help

the banks with lending.

[slipslidingaway]

4. No n/t

[Baby Snooks]

9. Voodoo Economics...

In voodoo economics, you just stick it to the middle-class who pay for the rich and the poor. And everyone is happy. Well, the rich and the poor are happy anyway.

[xloadiex]

11. They removed a 246 million tax break

for movie producers? Can't afford to go to a movie if you don't have a job.